HDFC Q4 Review - Non-Individual Growth Picks Up; Margin Expands: Nirmal Bang

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Nirmal Bang Report.Housing Development Finance Corporation Ltd. reported earnings growth of 16.4% YoY and 13.5% QoQ. The sequential earnings performance was strong on the back of margin expansion as construction finance loan growth picked up. On YoY basis, overall assets under management growth was on expected lines of ~15%.Growth in the non-individual segment in Q4 FY22 played out as per management’s commentary in earlier quarters. Business growth outlook is positive given the upturn in the real estate/housing market. HDFC was able to improve overall spreads and has taken rate hikes across products (individual, non-individual) to offset the adverse impact of rising cost of funds. Asset quality saw stark improvement QoQ, with gross stage-III ratio declining by 43 basis points (QoQ). Credit cost for FY22 was 36 bps, but it is expected to trend towards normalised level of 20 bps going forward.Management commentary on merger with HDFC Bank Ltd. remains positive..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

HDFC Q4 Review - Non-Individual Growth Picks Up; Margin Expands: Nirmal Bang

HDFC Q4 Review - Non-Individual Growth Picks Up; Margin Expands: Nirmal Bang

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